The impact of credit constraint on artisanal fishers’ technical efficiency: Stochastic frontier and instrumental variable approach

2021 ◽  
pp. 102149
Author(s):  
Martinson Ankrah Twumasi ◽  
Yuansheng Jiang ◽  
Prince Fosu ◽  
Bismark Addai ◽  
Charles Hackman Kwamena Essel
Keyword(s):  
Technical Efficiency ◽  
Instrumental Variable ◽  
Stochastic Frontier ◽  
Credit Constraint ◽  
Artisanal Fishers ◽  
Variable Approach ◽  
The Impact ◽  
Instrumental Variable Approach

International Remittances and Private Healthcare in Kerala, India

2020 ◽  
Vol 17 (3) ◽  
pp. 445-460
Author(s):  
Mohd Imran Khan ◽  
Valatheeswaran C.
Keyword(s):  
Instrumental Variable ◽  
Capital Investment ◽  
Healthcare Expenditure ◽  
Healthcare Services ◽  
Private Healthcare ◽  
International Remittances ◽  
Variable Approach ◽  
Using Data ◽  
The Impact ◽  
Instrumental Variable Approach

The inflow of international remittances to Kerala has been increasing over the last three decades. It has increased the income of recipient households and enabled them to spend more on human capital investment. Using data from the Kerala Migration Survey-2010, this study analyses the impact of remittance receipts on the households’ healthcare expenditure and access to private healthcare in Kerala. This study employs an instrumental variable approach to account for the endogeneity of remittances receipts. The empirical results show that remittance income has a positive and significant impact on households’ healthcare expenditure and access to private healthcare services. After disaggregating the sample into different heterogeneous groups, this study found that remittances have a greater effect on lower-income households and Other Backward Class (OBC) households but not Scheduled Caste (SC) and Scheduled Tribe (ST) households, which remain excluded from reaping the benefit of international migration and remittances.

scholarly journals Did the Kyoto Protocol fail? An evaluation of the effect of the Kyoto Protocol on CO2emissions

2015 ◽  
Vol 21 (1) ◽  
pp. 1-22 ◽  
Author(s):  
Nicole Grunewald ◽  
Inmaculada Martinez-Zarzoso
Keyword(s):  
Kyoto Protocol ◽  
Data Model ◽  
Instrumental Variable ◽  
Panel Data Model ◽  
Matched Sample ◽  
Difference In Differences ◽  
Variable Approach ◽  
Policy Variable ◽  
The Impact ◽  
Instrumental Variable Approach

AbstractIn this paper, we empirically investigate the impact of the Kyoto Protocol on CO2emissions using a sample of 170 countries over the period 1992–2009. We propose the use of a difference-in-differences estimator with matching to address the endogeneity of the policy variable, namely Kyoto commitments. Countries are matched according to observable characteristics to create a suitable counterfactual. We correspondingly estimate a panel data model for the whole sample and the matched sample and compare the results to those obtained using an instrumental variable approach. The main results indicate that Kyoto Protocol commitments have a measurable reducing effect on CO2emissions, indicating that a treaty often deemed a ‘failure’ may in fact be producing some non-negligible effects for those who signed it.

scholarly journals Entrepreneurship and the fight against poverty in US cities

2020 ◽  
pp. 0308518X2092442
Author(s):  
Neil Lee ◽  
Andrés Rodríguez-Pose
Keyword(s):  
Instrumental Variable ◽  
Poverty Reduction ◽  
Job Creation ◽  
Economic Benefits ◽  
Local Markets ◽  
Variable Approach ◽  
Multiplier Effects ◽  
The Impact ◽  
Us Cities ◽  
Instrumental Variable Approach

Entrepreneurship is often seen as the cure-all solution for poverty reduction. Proponents argue that it leads to job creation, higher incomes and lower poverty rates in the cities in which it occurs. Others argue that many entrepreneurs are actually creating low-productivity firms serving local markets. Yet, despite this debate, little research has considered the impact of entrepreneurship on poverty in cities. This paper addresses this gap using a panel of US cities for the period between 2005 and 2015. We hypothesize that the impact of entrepreneurship will depend on whether it is in tradeable sectors, so likely to have positive local multiplier effects, or non-tradeable sectors, which may saturate local markets. We find that entrepreneurship in tradeables reduces poverty and increases incomes for non-entrepreneurs, a result we confirm using an instrumental variable approach, taking the inheritance of entrepreneurial traits as the instruments. In contrast, while there are some economic benefits from non-tradeable entrepreneurship, we find these are not large enough to reduce poverty.

scholarly journals Wealth, Credit Constraints and Small Firms’ Investment: Evidence from Brazil

2020 ◽  
Vol 40 (1) ◽  
pp. 59
Author(s):  
Flávia Chein ◽  
Cristine Pinto
Keyword(s):  
Instrumental Variable ◽  
Occupational Choice ◽  
Small Firms ◽  
Investment Decisions ◽  
Credit Constraint ◽  
Credit Access ◽  
Access To Credit ◽  
Variable Approach ◽  
The Individual ◽  
Instrumental Variable Approach

<span>We explore the effect of wealth on occupational choice to find out whether small firms in Brazil face credit constraint and how occupational choice relates to investments. Using an instrumental variable approach, we find evidence that occupational choice is, in fact, constrained by wealth and this constraint is related to investment decisions. Our main results show that the probability of investment increases by 0.45 when the individual is an employer, controlling by entrepreneurs characteristics and sector, suggesting that the constraints at the credit market may affect investment decisions of small firms in Brazil. The effect of being an employer on credit access is about 0.320, which supports the idea that employers have more access to credit than the self-employed.</span>

scholarly journals Political Connections, Allocation of Stimulus Spending, and the Jobs Multiplier

2021 ◽  
Vol 2021 (004) ◽  
pp. 1-65
Author(s):  
Joonkyu Choi ◽  
◽  
Veronika Penciakova ◽  
Felipe Saffie ◽  
◽  
...  
Keyword(s):  
Instrumental Variable ◽  
Public Expenditure ◽  
State Level ◽  
Political Connections ◽  
Fiscal Stimulus ◽  
Ex Post ◽  
Variable Approach ◽  
The Impact ◽  
State Legislative ◽  
Instrumental Variable Approach

Using American Recovery and Reinvestment Act (ARRA) data, we show that firms lever their political connections to win stimulus grants and public expenditure channeled through politically connected firms hinders job creation. We build a unique database that links campaign contributions and state legislative election outcomes to ARRA grant allocation. Using exogenous variation in political connections based on ex-post close elections held before ARRA, we causally show that politically connected firms are 64 percent more likely to secure a grant. Based on an instrumental variable approach, we also establish that state-level employment creation associated with grants channeled through politically connected firms is nil. Therefore, the impact of fiscal stimulus is not only determined by how much is spent, but also by how the expenditure is allocated across recipients.

The Causal Impact of Grammatical Gender Marking on Gender Wage Inequality and Country Income Inequality

2017 ◽  
Vol 57 (6) ◽  
pp. 1216-1251 ◽  
Author(s):  
Amir Shoham ◽  
Sang Mook Lee
Keyword(s):  
Income Inequality ◽  
Wage Inequality ◽  
Instrumental Variable ◽  
Wage Gap ◽  
Variable Approach ◽  
Indirect Impact ◽  
Causal Impact ◽  
The Impact ◽  
Instrumental Variable Approach ◽  
Gender Wage Inequality

In this study, we investigate, both theoretically and empirically, the impact of language gender marking on gender wage inequality and country income inequality. We find that nations with a higher level of gender marking in their dominant language have a higher wage gap between genders. Using an instrumental variable approach, we also find that gender marking has an indirect impact on country income inequality via gender wage inequality. Furthermore, we find evidence that the income inequality of a society as a whole (Palma ratio and Gini index, interchangeably) is affected by gender wage inequality. Finally, we document that linguistic gender marking outperforms survey-based cultural gender dimensions as a predictor of both gender wage inequality and country income inequality.

The Impact of Extension Services on Farm‐level Income: An Instrumental Variable Approach to Combat Endogeneity Concerns

2018 ◽  
Vol 40 (4) ◽  
pp. 585-612 ◽  
Author(s):  
Anthony Cawley ◽  
Cathal O’Donoghue ◽  
Kevin Heanue ◽  
Rachel Hilliard ◽  
Maura Sheehan ◽  
...  
Keyword(s):  
Instrumental Variable ◽  
Extension Services ◽  
Farm Level ◽  
Variable Approach ◽  
On Farm ◽  
The Impact ◽  
Instrumental Variable Approach

scholarly journals Organic Farming Increases the Technical Efficiency of Olive Farms in Italy

Agriculture ◽  
2021 ◽  
Vol 11 (3) ◽  
pp. 209
Author(s):  
Maria Raimondo ◽  
Francesco Caracciolo ◽  
Concetta Nazzaro ◽  
Giuseppe Marotta
Keyword(s):  
Organic Farming ◽  
Technical Efficiency ◽  
Stochastic Frontier ◽  
Farming System ◽  
Positive Role ◽  
Conventional Agriculture ◽  
Direct Sales ◽  
Organic Farming System ◽  
The Impact

While there is growing recognition of the positive role played by organic farming in the reduction of the negative externalities due to conventional agriculture, there is uncertainty about the effect of the latter on the economic performance of the farms. In this scenario, the present paper aims at investigating the effect of organic farming on technical efficiency in Italian olive farms. A cross-section dataset was analyzed through the stochastic frontier function, where the adoption of organic farming was explicitly modeled. Then, to obtain an unbiased estimate of the impact of organic farming on technical efficiency, a propensity score matching method was implemented. The findings reveal that organic farming increases technical efficiency in Italian olive farms by approximately 10%. The highest impact of organic farming is observed in small farms. As for the propensity to become organic, we found that the production and the direct sales of a higher quality of gross marketable output, as well as the intensity of labor and machines, increase the probability to adopt organic farming. Conversely, farm localization, the availability of family labor, and financial capital discourage conversion to the organic farming system.

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